Silver Breaks Through $47, Receiving Fresh Breath from US Data
Silver prices (XAG/USD) rose more than 1% and briefly touched a new high of $47.57 per troy ounce early in the Asian session on Wednesday. At the time of writing, silver remained stable around $47.15, driven by a weakening US dollar and growing expectations of a Fed rate cut.
The latest US employment data showed the labor market is starting to slow. Although the number of job openings rose slightly from 7.21 million to 7.23 million, the hiring rate actually fell to its lowest level since June 2024, at 3.2%. This reinforces speculation that the Fed will soon cut interest rates.
The weakening US dollar further strengthens silver's position in the eyes of investors. According to the CME FedWatch forecast tool, the market now rates a 97% chance that the Fed will cut interest rates in October, and a 76% chance of another cut in December. In such a situation, silver, as a non-interest-bearing asset, is once again becoming a sought-after asset.
Source: Newsmaker.id